Explain how a project can be evaluated when the project 1.) boosts revenues or 2). by...

Explain how a project can be evaluated when the project 1.) boosts revenues or 2). by reducing expenses

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Expert Solution

evaluating a ongoing project is one of the crucial things for success of project, in any project there are 3 types of evaluation

Pre project evaluation
ongoing project evaluation
Post project evaluation

so evaluating project while generating revenues is ongoing evaluation and it can be done by integrating revenue process with overall project like setting standards for revenues that should be in line with accounting procedures

setting standards for revenues
check on revenue cycle daily weekly monthly
how much these revenues have covered cost
revenue is confined with objective of project
revenue should generate appropriate cash flows

2) by reducing expenses we can evaluate project on basis of experience knowledge and expert judgment that

decreasing expenses means covering costs with revenues
we should monitor on percentage of project completion like 25% complete 60% complete as more completion less expenses as more expenses are incured in early stages

jeff jeffy answered 1 year ago

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